Kumho Tire CEO Jung Confident in Record Sales... Closely Watching Oil Price Rise Amid Middle East War

Launch of the Premium SUV-Dedicated Tire
‘Crugen GT Pro’

Jiltak Jung, CEO of Kumho Tire, expressed his confidence in achieving a record-high sales target of 5.1 trillion won this year. He also commented on the impact of the Middle East war, stating that the company has secured alternative export routes and is closely monitoring fluctuations in raw material prices due to rising oil prices.

Jeong Iltaek, CEO of Kumho Tire, is posing for a commemorative photo at the '2026 Kumho Members Day' event held on the 17th at the Grand Hyatt Hotel. Kumho Tire

At a press conference for the launch of the premium SUV-dedicated tire, 'Crugen GT Pro', held at the Grand Hyatt Seoul on the 17th, CEO Jung said, "Last year, we achieved our highest-ever sales of 4.7 trillion won, demonstrating Kumho Tire's growth potential. This year, we have set an unprecedented target of 5.1 trillion won, aiming for both quantitative and qualitative advancement."

Despite last May’s fire at the Gwangju plant and the impact of U.S. tariffs, Kumho Tire posted strong results last year as sales of high-value-added products and new OE (original equipment) tire supplies to automakers increased in North America and Europe. This year, the company plans to proceed with building the Hampyeong plant as well as constructing a new European factory in Opole, Poland.

The Hampyeong plant began construction at the end of December last year, and mass production is expected to be established in the second half of 2027. For the European plant, land acquisition has been completed, and groundbreaking is scheduled for the fourth quarter of this year, with mass production to be in place by the fourth quarter of 2028. Detailed discussions are underway on administrative procedures and forming a development consortium to convert the existing Gwangju plant site for commercial use.

CEO Jung stated, "In the European market, various regulations are being introduced, not only to reduce tire wear but also to cut carbon dioxide emissions through improved rolling resistance and to apply sustainable materials. Since our products offer superior marketability and relative competitiveness compared to rivals, we will secure a European plant to establish a foundation for continued growth."

Jeong Iltaek, CEO of Kumho Tire, is giving a presentation at the "2026 Kumho Members Day" event held on the 17th at the Grand Hyatt Hotel. Kumho Tire

Regarding the Middle East war, he said, "While export volumes through the Strait of Hormuz have been affected, we have secured an alternative route via the Suez Canal. As the Middle East accounts for only about 7-8% of our sales, it is unlikely to have a significant impact on our overall revenue."

He added, "We are closely monitoring the rise in raw material costs due to higher oil prices, but there has been no clear change so far. While synthetic rubber prices may fluctuate, it does not appear likely that this will lead to domestic price increases."

CEO Jung also commented on the company’s business in China, saying, "China leads the world in automobile production and in electric vehicle production and sales. While unit prices are higher in advanced countries, market changes are expected in the future. Although it is difficult to generate profitability immediately, we will seek ways to achieve sustainable growth by maintaining partnerships with premium automakers."

Jiltak Jeong, CEO of Kumho Tire, is answering questions at the "2026 Kumho Members Day" event held on the 17th at the Grand Hyatt Hotel. Kumho Tire

On this day, Kumho Tire launched its premium SUV brand, 'Crugen GT Pro.' This product, developed to target the rapidly growing SUV market, focuses on enhanced quietness and ride comfort. It is the only domestic SUV tire to receive an energy consumption efficiency rating of grade 2. The development period spanned a total of four years.

Notably, the tire achieved a UTQG (Uniform Tire Quality Grade) Treadwear score of 800 across all sizes from 18 to 22 inches, delivering over 20% greater mileage performance compared to competing products. By applying the latest all-season compound, a wear-resistant compound, and a zigzag pattern design, the tire can be used year-round and is suitable for both internal combustion engine vehicles and electric vehicles.

CEO Jung stated, "Globally, SUVs are gaining popularity, and electrification is advancing rapidly, resulting in significantly heavier vehicles. This makes tire durability and quietness increasingly important. By perfectly blending ride comfort and economic efficiency, we aim to lead the premium tire market."

This content was produced with the assistance of AI translation services.